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Danish-South African Energy Partnership Program

The DK-SA Energy Partnership Program took off in April 2013 with the signing of a bilateral agreement for the program by the South African Minister of Energy and the Danish Ambassador on behalf of the Danish Minister of Climate, Energy and Buildings.

The development objective of the program is to decouple economic growth in the Republic of South Africa from the growth in the overall Greenhouse Gas (GHG) emissions. The intermediate objective is to increase the deployment of low carbon technologies in the energy sector.

The phase 1 of the program has been designed to ensure the transfer of Danish expertise in the field of renewable energy, wind energy, energy efficiency and climate change. The program is divided into three components:

Component 1: Technical assistance to the Department of Energy

The objective of the component is to assist the Department of Energy (DoE) to develop comprehensive policies and strategies that contribute to the efficient introduction of renewable energy and energy efficiency technologies.

The technical assistance to the Department of Energy has been divided into three subcomponents on energy efficiency, renewable energy and climate change:

  • The Energy Efficiency (EE) component entails drafting of the National Energy Efficiency Strategy (NEES) and Action Plan, the Energy Efficiency awareness campaign, development of a centralized smart metering management and monitoring system, and a study to identify, assess and design a market based economic incentive(s) for energy efficiency appliances in South Africa.

  • The component on renewable Energy (RE) aims to develop and support the the Renewable Energy Data and Information Service (REDIS), improving capacity building and competency on grid codes, as well as integrating renewable energy within municipal utilities. Furthermore, to support the establishment of the South African Renewable Energy Training Centre (SARETEC).

  • Climate Change (CC) activities are centered on an energy efficiency schools pilot project and a carbon tax offset program with training of officials.

Component 2: Further development of the Wind Atlas for South Africa

The activity to further develop the Wind Atlas for South Africa (WASA 2) aims to geographically expand the mapping of the South African wind resources, while feeding the resulting data into decisions on introducing wind energy into the national electricity supply.

The activities produce the following outputs:

  • A wind atlas including new measuring masts covering remaining areas of Eastern Cape, KwaZulu-Natal and parts of Free State Provinces
  • Continued metering from existing measuring masts established under WASA1 of SAWEP Phase 1
  • Mapping of potential as input to DoE for strategic energy planning purpose
  • Collaboration with Eskom on data for day-ahead and in-hour forecasts

Component 3: Technical assistance to ESKOM for renewable energy integration into electricity supply

The technical assistance to Eskom, the South African electricity supplier, aims at enhancing the internal capacity to address the challenges involved with integration of renewable energy in power supply.

The activities are centered on the distribution and transmission level. On the distribution level, assistance is provided through technical advisory services to engage with Eskom distribution operating units on actual status of network operation performance and SCADA system in general and in relation to operation of renewable power plants embedded in the distribution network. Furthermore, conducting a review of distribution network manuals and training of distribution network operators in renewable and network operation.

With regard to integration of renewables into the electricity grid at the transmission level, the program focuses on the requirements for Eskom ancillary services/reserves with increasing levels of renewable energy penetration into the power system.

Results of Phase 1:

  • NEES:the POST 2015 strategy has been drafted, received approval from the Minister, and has gone through a public consultations. The document is currently going through the socioeconomic information service process. After this it will be presented to Cabinet for approval.DEA assisted South Africa in drafting their post-2015 national energy efficiency targets and strategy towards 2030 through a bottom-up approach identifying energy efficient potentials and measures across sectors and conducting cost-benefit analysis combined with stakeholder consultations to suggest the most effective and appropriatemeasures to be implemented.

  • EE campaign: in May 2016 at the African Utility Week, the Department OF Energy unveiled South Africa’s first compulsory energy efficiency label and launched the rollout of the national energy efficiency campaign (Save Energy Campaign). The campaign aims to create awareness about the significant role that energy efficient buildings can play in reducing the demand of energy, saving a scarce resource, creating small enterprises, and growing the economy. Another big event was at the South African Energy Efficiency convention in November 2016, where the focus was ways of making Energy Efficiency more cost effective. A few other events were organized to create further awareness to the public.

  • REDIS: . Data collected and processed from renewable generators is now online (http://redis.energy.gov.za/) and utilized in the Energy Planning Chief Directorate of the DoE for inputs and assumptions related to renewable energy deployment and to inform decision making on long-term energy planning. The REDIS newsletter is circulated monthly to national and international subscribers, and the team will provide data-driven insights to the publication of the GIZ funded ‘Status of Renewable Energy Report 2017’ scheduled for publication in October 2017.

  • EE schools pilot: the aim of project was to pilot energy efficient and renewable energy interventions in public schools. 5 schools were selected for the pilot study (2 in the Free State and 3 in Gauteng).To this end, most of the milestones have been achieved; the energy audit, baseline, and implementation plan highlighting the different interventions to be done in the schools.Installation of the identified interventions (the retrofits of lights has been completed, solar geysers and PV systems have been installed, with insulation and window glazing) has been completed as well as capacity building and training of the staff. Currently, the monitoring and evaluation process is underway and the final report is expected by end of July 2017.

  • SARETEC: the project has made a positive impact in:
  • Training industrial players, educator and trainers in the correct use and interpretation of the Wind Atlas of South Africa (WASA) data;
  • Financial support provided to wind turbine service technician (WTST) students for their course fees and living expenses (9 students were supported in all);
  • Financial support to the inaugural “WindAc Africa” conference supporting academic work in the wind power sector in South Africa;
  • Further strengthening of the South African skills base through the running of international courses by Ecology Management (on Nordex equipment) and the Danish Wind Power Academy (on Vestas equipment).
  • WASA: The WASA activities have been hugely successful in documenting and making publicly available documentation for the potential for wind energy in South Africa. The wind speed measurement element of the programme has been granted extension until 30 September 2018 to ensure that longer term data is collected.
  • The Renewable Energy Data and Information Service (REDIS) is one of the programs important achievements. Data collected and processed from renewable generators is now online (http://redis.energy.gov.za/) and utilised in the Energy Planning Chief Directorate of the DoE for inputs and assumptions related to renewable energy deployment and to inform decision making on long-term energy planning. DEA assists South Africa in drafting their post-2015 national energy efficiency targets and strategy towards 2030 through a bottom-up approach identifying energy efficient potentials and measures across sectors and conducting cost-benefit analysis combined with stakeholder consultations to suggest the most effective and appropriatemeasures to be implemented.

  • The present Danish support to ESKOM is also yielding positive results. Through its SISYFOS model, DEA supported the development of a strategy on system adequacy and reserve margin assessing the effect of increasing levels of renewables. In workshops with DoE and ESKOM participation it showcased that the likelihood for reduced system adequacy and need for reserve margin with high Renewable Energy penetration is not as significant as previously anticipated. Denmark further supports ESKOM in assessing large-scale renewable energy penetration on the dynamic stability of the ESKOM power system and with capacity building and training on network operation and control of distribution systems in ESKOM and selected municipalities.

Phase 2:

As the Energy Partnership Program moves into its second phase, it has been re-designed with a more narrow focus. The development objective of the program is that South Africa is in transition to a less carbon-intensive electricity production including through expansion of Renewable Energy generation in alignment with the targets in the National Development Plan 2030 aiming at procuring at least 20,000 MW of renewable electricity by 2030. The program will indirectly support two key documents for long range policy and planning by the Government of South Africa: the Integrated Energy Plan (IEP) and the Integrated Resources Plan (IRP) 2010-50), that forms the basis of South Africa’s generation capacity expansion.

The Energy Partnership Programme relates to four of the eight key objectives of the IEP, namely ensuring the security of supply; minimising the cost of energy; diversifying supply sources and primary sources of energy; and minimising emissions from the energy sector.

The Phase 2 is divided into two development engagements (Des) with the Department of Energy and ESKOM respectively.

DE 1: Capacity Development for Energy Sector Planning with the DoE

The objective of this Development Engagement is to facilitate the development of a less carbon intensive electricity sector in line with the IEP and IRP by working with the DoE to develop more comprehensive energy planning capabilities that include the efficient deployment and integration of renewable energy and energy efficiency technologies within the context of the energy mix.

DE2: Renewable Energy Integration into the National Power System with ESKOM

The objective of this Development Engagement is to facilitate the development of a less carbon intensive power sector by assisting ESKOM to integrate a larger share of RE into the electricity grid. ESKOM is the state owned, vertically integrated power company and the key partner for any development related to RE grid-integration.